Electronic components market and the overall market situation of LED

The iSuppli component price trend update focused on the market of electronic components and LED of the overall market situation.

The good news is, iSuppli believes the majority of components seems to have hit the bottom of the market. The big question is: how long will the market linger at the bottom? Even after a substantial reduction in the cost of the current demand situation, most suppliers will also be difficult to achieve long-term profitability.

Demand started to show some signs of recovery, but the supplier before to improve productivity, must determine the existence of demand. If the demand picks up too fast, and the supplier reacts slowly, the current situation could lead to an extension of the time of delivery, which may lead to a short supply of goods. Judging by the duration and severity of the downturn, iSuppli expects suppliers to be cautious.

ISuppli company still predicts the demand growth will be the beginning of the third quarter speed. The supplier's hesitation to replenish inventory will result in the delay of the whole supply chain. This may result in smaller orders, these orders require faster delivery speed.

To illuminate the future

For high brightness (HB) blue and white LED high demand, are driving the solid-state LED lighting market. These LED are mainly used for keyboard backlight, as well as mobile LCD.

But these solid-state lighting market started to slow down, LED manufacturers are actively looking for new applications. An emerging market for high brightness and ultra-high brightness (UHB) led is a large screen LCD backlight for TVs and monitors, which is currently in its early stages. But with this application turned from the CCFL backlight white LED backlight, led shipments with this new application has increased dramatically, it is expected that the price of white LED field erosion and competition will intensify.

In addition, the color of UHB or high power (1Watt) led performance is to continuously improve the level of identification, vehicle and ornaments, lighting and other fields to open up new applications. In the use of UHB white LED for general lighting, street lighting and parking lighting will be an attractive early market.

With new capacity in Taiwan area and the mainland China production, HB blue LED prices continue to decline. Due to fierce competition in the mobile phone market price, reducing its appeal, many of the leading provider of HB blue LED are eyeing a new market.